Rockhampton Regional Council has today adopted its 2022-23 budget which aims to minimise the impact on ratepayers.
Mayor Tony Williams said Council had been working hard to reduce the flow on effects of government funding cuts to Council, the cost of carting water to Mount Morgan for another year and massive land valuation increases.
“In spite of those external pressures, we have managed to keep the total rate rise for the average Rockhampton ratepayer to 5.92% which is an additional $4.16 per week,” Mayor Williams said.
“This is a slight improvement on the predicted rate rise of 6% I announced in March this year which shows Council has been working hard to deliver the fairest possible budget.
“This budget has had to deal with Financial Assistance Grants reducing by $6.8 million within three years, more than $5 million to continue carting water to Mount Morgan this financial year and land valuations jumping up 10.5% overall and, in some cases like our rural areas, more than 59%.
“At the same time, we are facing the same cost of living pressures everyone is facing with rising fuel, power and insurance costs as well as increased material costs.
“To offset some of those impacts, we have implemented a number of measures including reducing the rate-in-the-dollar across a number of categories, no new increases in the Road and Environment levies as well as finding $4.5 million in operational savings.
“These savings are across the board and include items such as the closure of the SmartHub, reduced consultancies and savings in our Civil Ops section while still maintaining the service levels our community expects.
“Where this leaves us is at a $3.6 million deficit but, after three years in the red, we are forecasting to be back in the black next year and post a small surplus.
“For pensioners and concession card holders, we have maintained the subsidy at a maximum of $260 per year which, when combined with the State Government rebate, gives some of our most vulnerable a maximum of $460 a year off their rates bill.
“A huge amount of work has gone into balancing the impact to ratepayers, maintaining service levels, finding savings and setting ourselves up to meet future financial shocks,” Mayor Williams said.
Deputy Mayor Neil Fisher said one of the key challenges Council had been forced to navigate this year was the reduction to the Financial Assistance Grants.
“To put some perspective in this, as a minimum grant council we would lose 25% of the current grant every year for three years until we end up with 75% less funding overall, which is $6.8 million less every year,” Deputy Mayor Fisher said.
“Over the next 10 years, that’s about $53 million in funding Council would miss out on.
“We have raised our objections to RRC moving into the minimum grant council category but the Local Government Grants Commission has made it clear it believes Council has the potential to raise revenue, which is telling us to put rates up to cover the shortfall.
“Unfortunately, that has been a contributing factor in the rates increase and one Council has tried to mitigate as much as possible for ratepayers,” Deputy Mayor Fisher said.
